A week ago I was talking about how confused I was about the development of the indices. They all went to the south at the very same moment. Or in other words an awful lot of investors decided in the very same moment to do the very same thing: sell the stocks.
We all know that is highly unlikely. We would have known, heard about that in the media and we did not. As I said I expect computers are doing that. Same algorithm, same pattern. We know this pattern from mother nature: one fish change the direction so do the other 20,000.
I read last week in a European newspaper some governments would like to change the law to control better high frequently trades. They mentioned in Europe meanwhile 30% of the trades are done by such computers. They also mentioned in US up to 70% are done by such high frequently trades. Ahaaaa, now I have an explanation for the strange behavior on the market. Humans are less involved than in the past. 20 years ago we played chess against a computer. Today we trade stocks against computers.
On Tuesday the famous computers decided to change the trend and started at 3:03PM EST to buy across the board stocks. Let us follow the computers to earn some money. They cannot be wrong, after all they represent 70% of the business. What a crazy world
We all know that is highly unlikely. We would have known, heard about that in the media and we did not. As I said I expect computers are doing that. Same algorithm, same pattern. We know this pattern from mother nature: one fish change the direction so do the other 20,000.
I read last week in a European newspaper some governments would like to change the law to control better high frequently trades. They mentioned in Europe meanwhile 30% of the trades are done by such computers. They also mentioned in US up to 70% are done by such high frequently trades. Ahaaaa, now I have an explanation for the strange behavior on the market. Humans are less involved than in the past. 20 years ago we played chess against a computer. Today we trade stocks against computers.
On Tuesday the famous computers decided to change the trend and started at 3:03PM EST to buy across the board stocks. Let us follow the computers to earn some money. They cannot be wrong, after all they represent 70% of the business. What a crazy world
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